Lumber Liquidators Fined $33 Million For False Formaldehyde Claims
Posted On
March 20, 2019
The Department of Justice fined Lumber Liquidators $33 million for falsely claiming to the public that its products were in compliance with formaldehyde emission regulations. The basis for the lawsuit was the 60 Minutes television program that reported that Chinese flooring bought by Lumber Liquidators did not meet the emission limits set by the California Air Resources Board (CARB).
Resources:
- Department of Justice: Lumber Liquidators Enters into Corporate Resolution for Securities Fraud and Agrees to Pay $33 Million Penalty
- Deferred Agreement
- Criminal Information
- Chemical Watch: Lumber Liquidators fined $33m for formaldehyde misinformation
- Proactiveinvestors.com: Lumber Liquidators posts 4Q loss after legal settlements of formaldehyde case